Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 01, 2017 | Jun. 30, 2016 | |
Document Information [Line Items] | |||
Entity Registrant Name | AMERINST INSURANCE GROUP LTD | ||
Entity Central Index Key | 1,065,201 | ||
Trading Symbol | aigt | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 995,253 | ||
Entity Public Float | $ 17,145,354 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
ASSETS | ||
Fixed maturity investments, at fair value (amortized cost $11,406,979 and $7,637,599) | $ 11,362,421 | $ 7,691,186 |
Equity securities, at fair value (cost $11,321,578 and $10,418,922) | 15,165,544 | 14,702,845 |
TOTAL INVESTMENTS | 26,527,965 | 22,394,031 |
Cash and cash equivalents | 4,631,709 | 3,073,747 |
Restricted cash and cash equivalents | 23,392 | 608,370 |
Other invested assets (Note 5) | 490,000 | 980,000 |
Assumed reinsurance premiums receivable | 1,285,126 | 1,031,992 |
Accrued investment income | 76,975 | 59,342 |
Property and equipment (Note 6) | 226,988 | 130,740 |
Deferred policy acquisition costs | 1,384,915 | 1,066,789 |
Prepaid expenses and other assets | 1,398,739 | 1,042,249 |
TOTAL ASSETS | 36,045,809 | 30,387,260 |
LIABILITIES | ||
Unpaid losses and loss adjustment expenses (Note 7) | 8,941,991 | 6,583,474 |
Unearned premiums | 3,743,006 | 2,883,203 |
Assumed reinsurance payable | 1,254,687 | 269,055 |
Accrued expenses and other liabilities | 4,035,617 | 3,129,906 |
TOTAL LIABILITIES | 17,975,301 | 12,865,638 |
COMMITMENTS AND CONTINGENCIES | ||
SHAREHOLDERS’ EQUITY | ||
Common shares, $1 par value, 2016 and 2015: 2,000,000 shares authorized, 995,253 issued and outstanding | 995,253 | 995,253 |
Additional paid-in-capital | 6,287,293 | 6,287,293 |
Retained earnings | 15,379,345 | 14,213,781 |
Accumulated other comprehensive income | 3,799,408 | 4,337,510 |
Shares held by Subsidiary (348,605 and 345,610 shares) at cost | (8,390,791) | (8,312,215) |
TOTAL SHAREHOLDERS’ EQUITY | 18,070,508 | 17,521,622 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 36,045,809 | $ 30,387,260 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Fixed maturity investments, amortized cost | $ 11,406,979 | $ 7,637,599 |
Equity securities, cost | $ 11,321,578 | $ 10,418,922 |
Common shares, par value (in dollars per share) | $ 1 | $ 1 |
Common shares, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Common shares, issued (in shares) | 995,253 | 995,253 |
Common shares, outstanding (in shares) | 995,253 | 995,253 |
Shares held by Subsidiary (in shares) | 348,605 | 345,610 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
REVENUES | ||
Net premiums earned (Note 9) | $ 7,124,066 | $ 5,423,599 |
Commission income | 4,044,726 | 3,093,980 |
Net investment income (Note 4) | 277,537 | 256,270 |
Net realized gain on investments (Note 4) | 2,555,767 | 195,796 |
TOTAL REVENUES | 14,002,096 | 8,969,645 |
LOSSES AND EXPENSES | ||
Losses and loss adjustment expenses (Note 7) | 4,683,409 | 3,593,663 |
Policy acquisition costs | 2,635,914 | 2,006,741 |
Operating and management expenses (Note 10) | 5,211,450 | 4,765,725 |
TOTAL LOSSES AND EXPENSES | 12,530,773 | 10,366,129 |
INCOME (LOSS) BEFORE TAX | 1,471,323 | (1,396,484) |
Income tax expense (Note 11) | 0 | 0 |
NET INCOME (LOSS) AFTER TAX | $ 1,471,323 | $ (1,396,484) |
BASIC AND DILUTED INCOME (LOSS) PER SHARE (in dollars per share) | $ 2.26 | $ (2.13) |
Weighted average number of common shares outstanding for the year (in shares) | 650,203 | 655,092 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Net income (loss) | $ 1,471,323 | $ (1,396,484) |
OTHER COMPREHENSIVE LOSS | ||
Net unrealized holding gains (losses) arising during the period | 2,017,665 | (732,675) |
Reclassification adjustment for (gains) included in net income (loss) | (2,555,767) | (195,796) |
TOTAL OTHER COMPREHENSIVE LOSS | (538,102) | (928,471) |
COMPREHENSIVE INCOME (LOSS) | $ 933,221 | $ (2,324,955) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Shares Held By Subsidiary [Member] | Total |
Balance at Dec. 31, 2014 | $ 995,253 | $ 6,287,293 | $ 15,926,472 | $ 5,265,981 | $ (8,137,272) | $ 20,337,727 |
Net income (loss) | (1,396,484) | (1,396,484) | ||||
Unrealized losses on securities, net of reclassification adjustment | (928,471) | (928,471) | ||||
Purchase of shares by subsidiary, net | (174,943) | (174,943) | ||||
Dividends ($0.50 per share) | (316,207) | (316,207) | ||||
Balance at Dec. 31, 2015 | 995,253 | 6,287,293 | 14,213,781 | 4,337,510 | (8,312,215) | 17,521,622 |
Net income (loss) | 1,471,323 | 1,471,323 | ||||
Unrealized losses on securities, net of reclassification adjustment | (538,102) | (538,102) | ||||
Purchase of shares by subsidiary, net | (78,576) | (78,576) | ||||
Dividends ($0.50 per share) | (305,759) | (305,759) | ||||
Balance at Dec. 31, 2016 | $ 995,253 | $ 6,287,293 | $ 15,379,345 | $ 3,799,408 | $ (8,390,791) | $ 18,070,508 |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Shareholders' Equity (Parentheticals) - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Retained Earnings [Member] | ||
Dividends, per share (in dollars per share) | $ 0.50 | $ 0.50 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income (loss) | $ 1,471,323 | $ (1,396,484) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Amortization of net premiums on investments | 64,209 | 40,834 |
Depreciation and amortization on property and equipment | 74,465 | 168,702 |
Net realized gains on sale of investments | (2,555,767) | (195,796) |
Changes in assets and liabilities: | ||
Assumed reinsurance premiums receivable | (253,134) | (194,280) |
Accrued investment income | (17,633) | (5,933) |
Deferred policy acquisition costs | (318,126) | (298,530) |
Prepaid expenses and other assets | (356,490) | (208,182) |
Liability for losses and loss adjustment expenses | 2,358,517 | 2,406,197 |
Unearned premiums | 859,803 | 806,833 |
Assumed reinsurance payable | 985,632 | 240,522 |
Accrued expenses and other liabilities | 905,711 | 720,135 |
Net cash provided by operating activities | 3,218,510 | 2,084,018 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Movement in restricted cash and cash equivalents | 584,978 | 502,002 |
Purchases of property and equipment | (170,713) | (7,459) |
Purchases of available-for-sale securities | (12,204,749) | (7,007,140) |
Proceeds from sales of available-for-sale securities | 6,832,764 | 4,085,107 |
Proceeds from redemptions of hedge fund investments | 1,471,507 | |
Proceeds from redemptions of fixed maturity investments | 40,000 | 35,000 |
Proceeds from maturities of fixed maturity investments | 2,170,000 | 1,150,000 |
Net cash used in investing activities | (1,276,213) | (1,242,490) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Dividends paid | (305,759) | (316,207) |
Purchase of shares by subsidiary, net | (78,576) | (174,943) |
Net cash used in financing activities | (384,335) | (491,150) |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 1,557,962 | 350,378 |
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 3,073,747 | 2,723,369 |
CASH AND CASH EQUIVALENTS, END OF YEAR | $ 4,631,709 | $ 3,073,747 |
Note 1 - Description of Busines
Note 1 - Description of Business | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. AmerInst Insurance Group, Ltd., (“AmerInst”, “Company”, “we”, “our” or “us.”) was formed under the laws of Bermuda in 1998. December 31, 2008. The reinsurance activity of AMIC Ltd. depends upon agreements entered into with outside parties. Entry into Agency Agreement On September 25, 2009, 50 four one September 25, 2016. Entry into Reinsurance Agreement We conduct our reinsurance business through AMIC Ltd., our subsidiary, which is a registered insurer in Bermuda. On September 25, 2009, 50% may 120 Historical Relationship with CAMICO From June 1, 2005 May 31, 2009, We decided not to renew the CAMICO contract and permitted the contract to expire pursuant to its terms on May 31, 2009. May 31, 2009. |
Note 2 - Significant Accounting
Note 2 - Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 2. Basis of presentation The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include the accounts of AmerInst and its operating wholly owned subsidiaries, AmerInst Mezco, Ltd. (“Mezco”), AMIC Ltd., APSL and AmerInst Investment Company, Ltd. (“Investco”). Intercompany accounts and transactions have been eliminated on consolidation. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The major estimates reflected in the Company’s financial statements include but are not limited to the liability for loss and loss adjustment expenses. Premiums Premiums assumed are earned on a pro rata basis over the terms of the underlying policies to which they relate. Premiums assumed relating to the unexpired portion of policies in force at the balance sheet date are recorded as unearned premiums. Deferred policy acquisition costs Ceding commissions related to assumed reinsurance agreements are deferred and amortized pro rata over the terms of the underlying policies to which they relate. Liability for losses and loss adjustment expenses The liability for unpaid losses and loss adjustment expenses includes case basis estimates of reported losses plus supplemental amounts for projected losses incurred but not reported (IBNR), calculated based upon loss projections utilizing certain actuarial assumptions and AMIC Ltd.’s historical loss experience supplemented with industry data. The aggregate liability for unpaid losses and loss adjustment expenses at year end represents management’s best estimate, based upon the available data, of the amount necessary to cover the ultimate cost of loss, based upon an actuarial analysis prepared by independent actuaries. However, because of the volatility inherent in professional liability coverage, actual loss experience may We review the independent actuaries’ reports for consistency and appropriateness of methodology and assumptions, including assumptions of industry benchmarks and discuss any concerns or changes with them. Our Underwriting Committee then considers the reasonableness of loss reserves recommended by our independent actuaries, in light of actual loss development during the year and approve the loss reserves to be recorded by AMIC Ltd. The anticipated effect of inflation is implicitly considered when estimating liabilities for unpaid losses and loss adjustment expenses. Future average severities are projected based on historical trends adjusted for anticipated trends, are monitored based on actual developments and are modified if necessary. Investments AmerInst classifies all of its investments as available-for-sale. Accordingly, AmerInst reports these securities at their estimated fair values with unrealized holding gains and losses being reported as other comprehensive income (loss). Realized gains and losses on sales of investments are accounted for by specifically identifying the cost and are reflected in the income statement in the period of sale. Declines in the fair value of investments below cost are evaluated for other than temporary impairment losses. The evaluation for other than temporary impairment losses is a quantitative and qualitative process which is subject to risks and uncertainties in the determination of whether declines in the fair value of investments are other than temporary. The risks and uncertainties include the Company’s intent and ability to hold the security, changes in general economic conditions, the issuer’s financial condition or near term recovery prospects, and the effects of changes in interest rates. AmerInst’s accounting policy requires that a decline in the value of a security below its cost basis be assessed to determine if the decline is other than temporary. If so, the security is deemed to be impaired and a charge is recorded in net realized losses equal to the difference between the fair value and the cost basis of the security. The fair value of the impaired investment becomes its new cost basis. Cash and cash equivalents Cash equivalents include money market funds and highly liquid debt instruments purchased with an original maturity of three Property and Equipment Property and equipment are depreciated using the straight-line method with estimated useful lives ranging from 3 7 Developmental costs for internal use software are capitalized in accordance with the provisions of the Financial Accounting Standard Board (“FASB”) Accounting Standards Codification (“ASC”) topic 350 5 Income taxes Deferred tax assets and liabilities are recognized for the future tax consequences and benefits attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the periods in which those temporary differences are expected to be recovered or settled. A valuation allowance is provided if it is more likely than not that some or all of the deferred tax assets will not be realized. Management evaluates the reliability of the deferred tax assets and assesses the need for additional valuation allowance annually. Earnings per common share Basic earnings per share is determined as net income available to common shareholders divided by the weighted average number of common shares outstanding for the period. There are no dilutive securities. New Accounting Pronouncements New Accounting Standards Adopted in 2016 D isclosures about Short-Duration Contracts In May 2015, 2015 09, 944): 2015 09”). 2015 09 (1) (2) (3) (4) (5) December 15, 2015. Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In August 2014, 2014 15, 2014 15”). 2014 15, 2014 15 December 31, 2016. 2014 15 Accounting Standards Not Yet Adopted Revenue from Contracts with Customers In May 2014, 2014 09, 2014 09”). 2014 09 five 2014 09, 944, Financial Services—Insurance 2014 09 January 1, 2017 2014 09 Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, 2016 01, 825 10): 2016 01’’). 2016 01 (1) (2) (3) (4) 2016 01 January 1, 2018, 2016 01 Financial Instruments Credit Losses-Measurement of Credit Losses on Financial Instruments In June 2016, 2016 13, December 15, 2019. , Statement of Cash Flows – Restricted Cash In November 2016, 2016 18, December 15, 2017. Test for Goodwill Impairment In January 2017, 2017 04, 2 December 15, 2019. January 1, 2017. |
Note 3 - Pledged Assets
Note 3 - Pledged Assets | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Transfers and Servicing of Financial Assets [Text Block] | 3. Pursuant to its reinsurance agreements, AMIC Ltd. is required to provide its ceding companies with collateral to secure its obligations to them. At December 31, 2016 2015, $103,623 $310,407, December 31, 2016 2015, 114 $11,330,173 $8,266,507, |
Note 4 - Investments
Note 4 - Investments | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | 4. The cost or amortized cost, gross unrealized holding gains and losses, and estimated fair value of fixed maturity investments, by major security type, and equity securities at December 31, 2016 2015 Cost or Gross Gross Estimated December 31, 2016 Fixed maturity investments: U.S. government agency securities $ 1,462,040 $ 6,408 $ (1,642 ) $ 1,466,806 Obligations of U.S. states and political subdivisions 4,098,069 37,309 (634 ) 4,134,744 Corporate debt securities 5,846,870 1,662 (87,661 ) 5,760,871 Total fixed maturity investments 11,406,979 45,379 (89,937 ) 11,362,421 Equity securities 11,235,802 3,917,670 (128,395 ) 15,025,077 Hedge fund 85,776 54,691 — 140,467 Total equity securities 11,321,578 3,972,361 (128,395 ) 15,165,544 Total investments $ 22,728,557 $ 4,017,740 $ (218,332 ) $ 26,527,965 Cost or Gross Gross Estimated December 31, 2015 Fixed maturity investments: U.S. government agency securities $ 1,477,979 $ 5,372 $ (3,965 ) $ 1,479,386 Obligations of U.S. states and political subdivisions 5,851,938 61,506 (14,888 ) 5,898,556 Corporate debt securities 307,682 5,562 — 313,244 Total fixed maturity investments 7,637,599 72,440 (18,853 ) 7,691,186 Equity securities 9,418,922 3,702,368 (87,838 ) 13,033,452 Hedge fund 1,000,000 669,393 — 1,669,393 Total equity securities 10,418,922 4,371,761 (87,838 ) 14,702,845 Total investments $ 18,056,521 $ 4,444,201 $ (106,691 ) $ 22,394,031 The following tables summarize the Company’s fixed maturity and equity securities in an unrealized loss position and the aggregate fair value and gross unrealized loss by length of time the security has continuously been in an unrealized loss position: 12 months or greater Less than 12 months Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Losses December 31, 2016 Fixed maturity investments: U.S. government agency securities $ — $ — $ 507,735 $ (1,642 ) $ 507,735 $ (1,642 ) Obligations of states and political subdivisions 542,968 (402 ) 420,050 (232 ) 963,018 (634 ) Corporate debt securities — — 4,549,756 (87,661 ) 4,549,756 (87,661 ) Total fixed maturity investments 542,968 (402 ) 5,477,541 (89,535 ) 6,020,509 (89,937 ) Equity securities 119,411 (6,743 ) 1,671,859 (121,652 ) 1,791,270 (128,395 ) Hedge fund — — — — — — Total equity securities 119,411 (6,743 ) 1,671,859 (121,652 ) 1,791,270 (128,395 ) Total investments $ 662,379 $ (7,145 ) $ 7,149,400 $ (211,187 ) $ 7,811,779 $ (218,332 ) AMERINST INSURANCE GROUP, LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued) As of December 31, 2016, twenty seven $7,811,779. six 12 December 31, 2016, 12 months or greater Less than 12 months Total Estimated Unrealized Estimated Unrealized Estimated Unrealized December 31, 2015 Fixed maturity investments: U.S. government agency securities $ — $ — $ 1,025,773 $ (3,965 ) $ 1,025,773 $ (3,965 ) Obligations of states and political subdivisions 1,699,466 (11,744 ) 928,206 (3,144 ) 2,627,672 (14,888 ) Corporate debt securities — — — — — — Total fixed maturity investments 1,699,466 (11,744 ) 1,953,979 (7,109 ) 3,653,445 (18,853 ) Equity securities 141,370 (26,393 ) 790,698 (61,445 ) 932,068 (87,838 ) Hedge fund — — — — — — Total equity securities 141,370 (26,393 ) 790,698 (61,445 ) 932,068 (87,838 ) Total investments $ 1,840,836 $ (38,137 ) $ 2,744,677 $ (68,554 ) $ 4,585,513 $ (106,691 ) As of December 31, 2015, twenty six $4,585,513. ten 12 December 31, 2015, The cost or amortized cost and estimated fair value of fixed maturity investments at December 31, 2016 2015 may may Amortized Estimated December 31, 2016 Due in one year or less $ 1,455,729 $ 1,457,201 Due after one year through five years 8,081,777 8,089,289 Due after five years through ten years 1,701,987 1,648,731 Due after ten years 167,486 167,200 Total $ 11,406,979 $ 11,362,421 Amortized Estimated December 31, 2015 Due in one year or less $ 1,686,728 $ 1,688,395 Due after one year through five years 5,550,706 5,600,089 Due after five years through ten years 226,799 231,638 Due after ten years 173,366 171,064 Total $ 7,637,599 $ 7,691,186 AMERINST INSURANCE GROUP, LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Information on sales and maturities of investments during the twelve December 31, 2016 2015 2016 2015 Total proceeds on sales of available-for-sale securities $ 6,832,764 $ 4,085,107 Total proceeds from redemptions of hedge fund investments 1,471,507 - Total proceeds from redemptions of fixed maturity investments 40,000 35,000 Total proceeds from maturities of fixed maturity investments 2,170,000 1,150,000 Gross gains on sales 2,849,692 1,168,098 Gross losses on sales (74,508 ) (189,297 ) Impairment losses (219,417 ) (783,005 ) Fair Value of Investments The following tables show the fair value of the Company’s investments in accordance with ASC 820, December 31, 2016 2015. Fair value measurement using: Carrying Total fair Quoted prices Significant Significant December 31, 2016 U.S. government agency securities $ 1,466,806 $ 1,466,806 $ — $ 1,466,806 $ — Obligations of U.S. state and political subdivisions 4,134,744 4,134,744 4,134,744 Corporate debt securities 5,760,871 5,760,871 5,760,871 Total fixed maturity investments 11,362,421 11,362,421 Equity securities (excluding the hedge fund) 15,025,077 15,025,077 15,025,077 Total equity securities (excluding the hedge fund) 15,025,077 15,025,077 Hedge fund measured at net asset value (a) 140,467 140,467 Total investments $ 26,527,965 $ 26,527,965 $ 15,025,077 $ 11,362,421 $ — Fair value measurement using: Carrying Total fair Quoted prices Significant Significant December 31, 2015 U.S. government agency securities $ 1,479,386 $ 1,479,386 $ — $ 1,479,386 $ — Obligations of U.S. state and political subdivisions 5,898,556 5,898,556 5,898,556 Corporate debt securities 313,244 313,244 313,244 Total fixed maturity investments 7,691,186 7,691,186 Equity securities (excluding the hedge fund) 13,033,452 13,033,452 13,033,452 Total equity securities (excluding the hedge fund) 13,033,452 13,033,452 Hedge fund measured at net asset value (a) 1,669,393 1,669,393 Total investments $ 22,394,031 $ 22,394,031 $ 13,033,452 $ 7,691,186 $ — (a) In accordance with Subtopic 820 10, AMERINST INSURANCE GROUP, LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued) There were no transfers between Levels 1 2 December 31, 2016 2015. In accordance with U.S. GAAP, we are required to recognize certain assets at their fair value in our consolidated balance sheets. This includes our fixed maturity investments and equity securities. In accordance with the Fair Value Measurements and Disclosures Topic of FASB’s ASC 820 820”), 820 three 1) 3). three • Level 1 • Level 2 2 • Level 3 At each measurement date, we estimate the fair value of the security using various valuation techniques. We utilize, to the extent available, quoted market prices in active markets or observable market inputs in estimating the fair value of our investments. When quoted market prices or observable market inputs are not available, we utilize valuation techniques that rely on unobservable inputs to estimate the fair value of investments. The following describes the valuation techniques we used to determine the fair value of investments held as of December 31, 2015 • U.S. government agency securities 2 • Obligations of U.S. state and political subdivisions 2 • Corporate debt securities 2 • Equity securities, at fair value 1 • Hedge fund In May 2016, 15 AMERINST INSURANCE GROUP, LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued) While we obtain pricing from independent pricing services, management is ultimately responsible for determining the fair value measurements for all securities. To ensure fair value measurement is applied consistently and in accordance with U.S. GAAP, we periodically update our understanding of the pricing methodologies used by the independent pricing services. We also challenge any prices we believe may There have been no material changes to any of our valuation techniques from what was used as of December 31, 2015. Though current market conditions appear to have improved, there is still the potential for further instability which could present additional risks and uncertainties for our business and make it more difficult to value certain of our securities if trading becomes less frequent. As such, valuations may may Major categories of net interest and dividend income are summarized as follows: 2016 2015 Interest earned: Fixed maturity investments $ 189,973 $ 172,957 Short term investments and cash and cash equivalents 4,546 2,028 Dividends earned 220,868 216,637 Investment expenses (137,850 ) (135,352 ) Net investment income $ 277,537 $ 256,270 |
Note 5 - Other Invested Assets
Note 5 - Other Invested Assets | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Investments and Other Noncurrent Assets [Text Block] | 5. At December 31, 2016 December 31, 2015, $490,000 $980,000, $250,000 one The Company’s investments in the CD are categorized in their entirety in Level 2 820. |
Note 6 - Property and Equipment
Note 6 - Property and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 6. Property and equipment, primarily associated with APSL, at December 31, 2016 2015 $226,988 $130,740, Cost Accumulated Total December 31, 2016 Furniture and fixtures $ 55,258 $ 36,276 $ 18,982 Office equipment 125,515 26,300 99,215 Computer equipment 14,427 5,477 8,950 Policy acquisition costs 6,075 - 6,075 Internal use software 435,583 341,817 93,766 Total $ 636,858 $ 409,870 $ 226,988 Cost Accumulated Total December 31, 2015 Furniture and fixtures $ 55,258 $ 28,375 $ 26,883 Office equipment 22,413 15,728 6,685 Computer equipment 15,114 9,783 5,331 Internal use software 1,071,121 979,280 91,841 Total $ 1,163,906 $ 1,033,166 $ 130,740 |
Note 7 - Liability for Unpaid L
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Liability for Future Policy Benefits and Unpaid Claims Disclosure [Text Block] | 7. Details of the liability for unpaid losses and loss adjustment expenses at December 31, 2016 2015 2016 2015 Case basis estimates $ 2,673,046 $ 2,806,295 IBNR reserves 6,268,945 3,777,179 Totals $ 8,941,991 $ 6,583,474 Liability for losses and loss adjustment expense activity is as follows: 201 6 2015 Liability—beginning of year $ 6,583,474 $ 4,177,277 Incurred related to: Current year 4,183,863 3,703,196 Prior years 499,546 (109,533 ) Total incurred 4,683,409 3,593,663 Paid related to: Current year (736,649 ) (224,268 ) Prior years (1,588,243 ) (963,198 ) Total paid (2,324,892 ) (1,187,466 ) Liability—end of year $ 8,941,991 $ 6,583,474 AMERINST INSURANCE GROUP, LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued) As a result of the change in estimates of insured events in prior years, the provision for losses and loss adjustment expenses increased by $499,546 2016 $109,533 2015. 2016 2015, 2012 2014. 2015 2013. The following tables set forth information about incurred and paid loss development information related to our professional liability business under the Reinsurance Agreement within the Reinsurance segment as at December 31, 2016. December 31, 2007 2015 Professional Liability (dollars in thousands) For the Years Ended December 31, Cumulative 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Number of Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance IBNR Reserves Reported Unaudited Dec. 31, 2016 Claims Accident Year 2007 N/A N/A N/A N/A N/A N/A N/A N/A N/A NA NA NA 2008 N/A N/A N/A N/A N/A N/A N/A N/A NA NA NA 2009 N/A N/A N/A N/A N/A N/A N/A NA NA NA 2010 N/A N/A N/A N/A N/A N/A NA NA NA 2011 $ 262 $ 348 $ 257 $ 293 $ 321 $ 344 $ 82 24 2012 702 763 393 450 429 100 75 2013 1,218 1,585 1,340 1,166 207 91 2014 2,589 2,640 2,562 698 167 2015 3,703 4,485 2,168 236 2016 4,184 2,884 272 Total $ 13,169 For the Years Ended December 31, 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance Unaudited Accident Year 2007 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 2008 N/A N/A N/A N/A N/A N/A N/A N/A N/A 2009 N/A N/A N/A N/A N/A N/A N/A N/A 2010 N/A N/A N/A N/A N/A N/A N/A 2011 $ 0 $ 165 $ 167 $ 201 $ 260 $ 262 Liability for Claims 2012 64 188 280 327 329 And Allocated Claim 2013 58 488 707 715 Adjustment Expenses 2014 67 680 1,018 Net of Reinsurance 2015 121 1,356 Before 2016 737 2011 -2016 2011 Total $ 4,417 $ 8,753 NA Net liability under Reinsurance Agreement $ 8,753 Net liability under CAMICO 189 Total net liability $ 8,942 The following is unaudited supplementary information for average annual historical duration of claims: Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance Unaudited Years 1 2 3 4 5 6 7 8 9 10 7.1 % 33.1 % 13.5 % 7.2 % 8.7 % 0.8 % N/A N/A N/A N/A AMERINST INSURANCE GROUP, LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company has not prepared loss development tables for CAMICO, which is in run-off, as its reserves for losses and loss adjustment expenses as at December 31, 2016 $189,076 (2.1% The Company has accumulated claims count information by accident year from the loss bordereaux it receives each quarter under the Reinsurance Agreement. The Company’s methodology for determining reported claims count information is on a per claims basis by accident year and is inclusive of claims that are open, closed with payment and closed without payment. |
Note 8 - Shareholders' Equity
Note 8 - Shareholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 8. AmerInst currently does not have a public market for its common stock, but the Company has historically purchased shares from the Company’s shareholders upon their death, disability or retirement from the practice of public accounting. The repurchase price has been equal to the year-end net book value per share for the most recently completed fiscal year reduced by the amount of any dividends already paid on the repurchased shares during the calendar year of the repurchase and any dividends the shareholder would be entitled to receive on the repurchased shares that have not been paid. In addition, the Bermuda Monetary Authority (“BMA”) has authorized additional purchase on a negotiated case-by-case basis, and such purchases have typically been negotiated share repurchases when requested by Company shareholders. On February 25, 2011, $500,000 |
Note 9 - Premiums Written
Note 9 - Premiums Written | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
PremiumsWritten [TextBlock] | 9. Premiums written were $7,983,869 $6,230,431 2016 2015, December 31, 2016 2015 |
Note 10 -Operating and Manageme
Note 10 -Operating and Management Expenses | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
OperatingAndMangementExpenseDisclosure [TextBlock] | 10. With the exception of APSL, AmerInst and its other direct and indirect subsidiaries have no employees. Their operating activities, as well as certain management functions, are performed by contracted professional service providers. Citadel Management Bermuda Limited (formerly Cedar Management Limited) provides AmerInst and AMIC Ltd. certain management, administrative and operations services under the direction of AmerInst’s Board of Directors pursuant to an agreement. The agreement may 90 60 $327,500 2016 2015, Operating and management expenses include compensation paid to members of the Board of Directors and various committees of the Board totaling $525,517 2016 $488,581 2015. $70,000 December 31, 2016 2015, , |
Note 11 - Taxation
Note 11 - Taxation | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 11. Under current Bermuda law, the Company and its subsidiaries are not required to pay taxes in Bermuda on either income or capital gains. The Company has received an undertaking from the Bermuda government that, in the event of income or capital gains taxes being imposed, the Company will be exempted from such taxes until the year 2035. However, APSL which is a Delaware corporation domiciled in the state of Illinois is subject to taxation in the United States. The actual income tax rate differed from the amount computed by applying the effective rate of 0% 2016 2015 Earnings before income tax $ 1,471,323 $ (1,396,484 ) Expected tax — — Foreign taxes at local expected rates 3,209 (190,297 ) Other 9,223 2,757 Change in valuation allowance (12,432 ) 187,540 Net tax expense (benefit) $ — $ — Deferred income taxes, arising from APSL, reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. As of December 31, 2016 2015, 2016 2015 Capitalized start-up expenses $ 163,000 $ 183,992 Operating loss carryforwards 4,009,000 4,006,081 Depreciation and amortization (22,000 ) (27,641 ) Deferred tax assets before valuation allowance 4,150,000 4,162,432 Valuation allowance (4,150,000 ) (4,162,432 ) Deferred tax assets net of valuation allowance $ — $ — At December 31, 2016, $10,377,000, 15 20 |
Note 12 - Dividend Restrictions
Note 12 - Dividend Restrictions and Statutory Requirements | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Restrictions on Dividends, Loans and Advances [Text Block] | 12. AMIC Ltd.’s ability to pay dividends to AmerInst is subject to the provisions of the Bermuda insurance and companies laws and the requirement to provide the ceding companies with collateral. Under the Companies Act, AMIC Ltd. would be prohibited from declaring or paying a dividend at December 31, 2016 December 31, 2016, $35.9 $22.7 AmerInst’s ability to pay common shareholders’ dividends and its operating expenses is dependent on cash dividends from AMIC Ltd. and its other subsidiaries. The payment of such dividends by AMIC Ltd. to AmerInst is limited under Bermuda law by the Bermuda Insurance Act 1978 December 31, 2016 2015 Statutory Relevant Assets Minimum Actual Minimum Actual December 31, 2016 $ 1,497,580 $ 37,448,998 $ 22,119,254 $ 22,119,254 December 31, 2015 $ 1,234,565 $ 34,896,907 $ 19,584,436 $ 19,584,436 AMIC Ltd. has received the BMA’s approval for the utilization of its investment in Investco as a relevant asset up to an aggregate amount sufficient to meet and maintain the minimum liquidity ratio. Statutory loss for the years ended December 31, 2016 2015 $762,411 $1,107,251, |
Note 13 - Segment Information
Note 13 - Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 13. AmerInst has two (1) (2) As of and for the Year Ended December 31, 2016 Reinsurance Insurance Total Revenues $ 9,954,786 $ 4,047,310 $ 14,002,096 Total losses and expenses 8,491,488 4,039,285 12,530,773 Segment income (loss) 1,463,298 8,025 1,471,323 Identifiable assets — 226,988 226,988 As of and for the Year Ended December 31, 2015 Reinsurance Insurance Total Revenues $ 5,873,847 $ 3,095,798 $ 8,969,645 Total losses and expenses 6,794,589 3,571,540 10,366,129 Segment income (loss) (920,742 ) (475,742 ) (1,396,484 ) Identifiable assets — 130,740 130,740 |
Note 14 - Stock Compensation
Note 14 - Stock Compensation | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 14. APSL has employment agreements with four one 75,018 may December 31, 2016, 1,569 84,725 December 31, 2016. For three January 1, 2015. fourth January 1, 2018. 65 60 January 1, 2018 fourth The liability relating to these phantom shares is recalculated quarterly based on the net book value of the Company’s common shares at the end of each quarter. As a result of the overall decrease in the net book value of the Company’s common shares since the grant dates, no December 31, 2016. |
Note 15 - Commitments and Conti
Note 15 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 15. APSL entered into a non-cancellable operating lease for office space in Lisle, Illinois. The lease is renewable at the option of the lessee under certain conditions. Future lease payments for the years ended December 31 2017 $ 101,209 $ 101,209 APSL is currently negotiating for a lease extension and expects the terms to be similar to the expiring lease . |
Note 16 - Unaudited Condensed Q
Note 16 - Unaudited Condensed Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Quarterly Financial Information [Text Block] | 16. 2016 FIRST SECOND THIRD FOURTH Net premiums earned $ 1,615,608 $ 1,500,827 $ 1,844,243 $ 2,163,388 Commission income 1,033,485 947,273 976,514 1,087,454 Net investment income 64,679 81,438 63,821 67,599 Net realized gain 243,253 516,861 960,767 834,886 Total revenues $ 2,957,025 $ 3,046,399 $ 3,845,345 $ 4,153,327 Net income $ 52,489 $ 228,331 $ 762,897 $ 427,606 Basic and diluted income per share $ 0.08 $ 0.35 $ 1.17 $ 0.66 2015 FIRST SECOND THIRD FOURTH Net premiums earned $ 1,225,863 $ 1,311,624 $ 1,406,901 $ 1,479,211 Commission income 738,818 717,998 728,969 908,195 Net investment income 52,662 77,815 55,709 70,084 Net realized gain (loss) 513,666 (56,470 ) 7,576 (268,976 ) Total revenues $ 2,531,009 $ 2,050,967 $ 2,199,155 $ 2,188,514 Net income (loss) $ 112,145 $ (526,520 ) $ (350,085 ) $ (632,024 ) Basic and diluted income (loss) per share $ 0.17 $ (0.80 ) $ (0.53 ) $ (0.97 ) |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of presentation The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include the accounts of AmerInst and its operating wholly owned subsidiaries, AmerInst Mezco, Ltd. (“Mezco”), AMIC Ltd., APSL and AmerInst Investment Company, Ltd. (“Investco”). Intercompany accounts and transactions have been eliminated on consolidation. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The major estimates reflected in the Company’s financial statements include but are not limited to the liability for loss and loss adjustment expenses. |
Premiums Receivable, Basis of Accounting, Policy [Policy Text Block] | Premiums Premiums assumed are earned on a pro rata basis over the terms of the underlying policies to which they relate. Premiums assumed relating to the unexpired portion of policies in force at the balance sheet date are recorded as unearned premiums. |
Deferred Charges, Policy [Policy Text Block] | Deferred policy acquisition costs Ceding commissions related to assumed reinsurance agreements are deferred and amortized pro rata over the terms of the underlying policies to which they relate. |
Liability Reserve Estimate, Policy [Policy Text Block] | Liability for losses and loss adjustment expenses The liability for unpaid losses and loss adjustment expenses includes case basis estimates of reported losses plus supplemental amounts for projected losses incurred but not reported (IBNR), calculated based upon loss projections utilizing certain actuarial assumptions and AMIC Ltd.’s historical loss experience supplemented with industry data. The aggregate liability for unpaid losses and loss adjustment expenses at year end represents management’s best estimate, based upon the available data, of the amount necessary to cover the ultimate cost of loss, based upon an actuarial analysis prepared by independent actuaries. However, because of the volatility inherent in professional liability coverage, actual loss experience may We review the independent actuaries’ reports for consistency and appropriateness of methodology and assumptions, including assumptions of industry benchmarks and discuss any concerns or changes with them. Our Underwriting Committee then considers the reasonableness of loss reserves recommended by our independent actuaries, in light of actual loss development during the year and approve the loss reserves to be recorded by AMIC Ltd. The anticipated effect of inflation is implicitly considered when estimating liabilities for unpaid losses and loss adjustment expenses. Future average severities are projected based on historical trends adjusted for anticipated trends, are monitored based on actual developments and are modified if necessary. |
Investment, Policy [Policy Text Block] | Investments AmerInst classifies all of its investments as available-for-sale. Accordingly, AmerInst reports these securities at their estimated fair values with unrealized holding gains and losses being reported as other comprehensive income (loss). Realized gains and losses on sales of investments are accounted for by specifically identifying the cost and are reflected in the income statement in the period of sale. Declines in the fair value of investments below cost are evaluated for other than temporary impairment losses. The evaluation for other than temporary impairment losses is a quantitative and qualitative process which is subject to risks and uncertainties in the determination of whether declines in the fair value of investments are other than temporary. The risks and uncertainties include the Company’s intent and ability to hold the security, changes in general economic conditions, the issuer’s financial condition or near term recovery prospects, and the effects of changes in interest rates. AmerInst’s accounting policy requires that a decline in the value of a security below its cost basis be assessed to determine if the decline is other than temporary. If so, the security is deemed to be impaired and a charge is recorded in net realized losses equal to the difference between the fair value and the cost basis of the security. The fair value of the impaired investment becomes its new cost basis. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and cash equivalents Cash equivalents include money market funds and highly liquid debt instruments purchased with an original maturity of three |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment are depreciated using the straight-line method with estimated useful lives ranging from 3 7 Developmental costs for internal use software are capitalized in accordance with the provisions of the Financial Accounting Standard Board (“FASB”) Accounting Standards Codification (“ASC”) topic 350 5 |
Income Tax, Policy [Policy Text Block] | Income taxes Deferred tax assets and liabilities are recognized for the future tax consequences and benefits attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the periods in which those temporary differences are expected to be recovered or settled. A valuation allowance is provided if it is more likely than not that some or all of the deferred tax assets will not be realized. Management evaluates the reliability of the deferred tax assets and assesses the need for additional valuation allowance annually. |
Earnings Per Share, Policy [Policy Text Block] | Earnings per common share Basic earnings per share is determined as net income available to common shareholders divided by the weighted average number of common shares outstanding for the period. There are no dilutive securities. |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Pronouncements New Accounting Standards Adopted in 2016 D isclosures about Short-Duration Contracts In May 2015, 2015 09, 944): 2015 09”). 2015 09 (1) (2) (3) (4) (5) December 15, 2015. Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In August 2014, 2014 15, 2014 15”). 2014 15, 2014 15 December 31, 2016. 2014 15 Accounting Standards Not Yet Adopted Revenue from Contracts with Customers In May 2014, 2014 09, 2014 09”). 2014 09 five 2014 09, 944, Financial Services—Insurance 2014 09 January 1, 2017 2014 09 Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, 2016 01, 825 10): 2016 01’’). 2016 01 (1) (2) (3) (4) 2016 01 January 1, 2018, 2016 01 Financial Instruments Credit Losses-Measurement of Credit Losses on Financial Instruments In June 2016, 2016 13, December 15, 2019. , Statement of Cash Flows – Restricted Cash In November 2016, 2016 18, December 15, 2017. Test for Goodwill Impairment In January 2017, 2017 04, 2 December 15, 2019. January 1, 2017. |
Note 4 - Investments (Tables)
Note 4 - Investments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | Cost or Gross Gross Estimated December 31, 2016 Fixed maturity investments: U.S. government agency securities $ 1,462,040 $ 6,408 $ (1,642 ) $ 1,466,806 Obligations of U.S. states and political subdivisions 4,098,069 37,309 (634 ) 4,134,744 Corporate debt securities 5,846,870 1,662 (87,661 ) 5,760,871 Total fixed maturity investments 11,406,979 45,379 (89,937 ) 11,362,421 Equity securities 11,235,802 3,917,670 (128,395 ) 15,025,077 Hedge fund 85,776 54,691 — 140,467 Total equity securities 11,321,578 3,972,361 (128,395 ) 15,165,544 Total investments $ 22,728,557 $ 4,017,740 $ (218,332 ) $ 26,527,965 Cost or Gross Gross Estimated December 31, 2015 Fixed maturity investments: U.S. government agency securities $ 1,477,979 $ 5,372 $ (3,965 ) $ 1,479,386 Obligations of U.S. states and political subdivisions 5,851,938 61,506 (14,888 ) 5,898,556 Corporate debt securities 307,682 5,562 — 313,244 Total fixed maturity investments 7,637,599 72,440 (18,853 ) 7,691,186 Equity securities 9,418,922 3,702,368 (87,838 ) 13,033,452 Hedge fund 1,000,000 669,393 — 1,669,393 Total equity securities 10,418,922 4,371,761 (87,838 ) 14,702,845 Total investments $ 18,056,521 $ 4,444,201 $ (106,691 ) $ 22,394,031 |
Schedule of Unrealized Loss on Investments [Table Text Block] | 12 months or greater Less than 12 months Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Losses December 31, 2016 Fixed maturity investments: U.S. government agency securities $ — $ — $ 507,735 $ (1,642 ) $ 507,735 $ (1,642 ) Obligations of states and political subdivisions 542,968 (402 ) 420,050 (232 ) 963,018 (634 ) Corporate debt securities — — 4,549,756 (87,661 ) 4,549,756 (87,661 ) Total fixed maturity investments 542,968 (402 ) 5,477,541 (89,535 ) 6,020,509 (89,937 ) Equity securities 119,411 (6,743 ) 1,671,859 (121,652 ) 1,791,270 (128,395 ) Hedge fund — — — — — — Total equity securities 119,411 (6,743 ) 1,671,859 (121,652 ) 1,791,270 (128,395 ) Total investments $ 662,379 $ (7,145 ) $ 7,149,400 $ (211,187 ) $ 7,811,779 $ (218,332 ) 12 months or greater Less than 12 months Total Estimated Unrealized Estimated Unrealized Estimated Unrealized December 31, 2015 Fixed maturity investments: U.S. government agency securities $ — $ — $ 1,025,773 $ (3,965 ) $ 1,025,773 $ (3,965 ) Obligations of states and political subdivisions 1,699,466 (11,744 ) 928,206 (3,144 ) 2,627,672 (14,888 ) Corporate debt securities — — — — — — Total fixed maturity investments 1,699,466 (11,744 ) 1,953,979 (7,109 ) 3,653,445 (18,853 ) Equity securities 141,370 (26,393 ) 790,698 (61,445 ) 932,068 (87,838 ) Hedge fund — — — — — — Total equity securities 141,370 (26,393 ) 790,698 (61,445 ) 932,068 (87,838 ) Total investments $ 1,840,836 $ (38,137 ) $ 2,744,677 $ (68,554 ) $ 4,585,513 $ (106,691 ) |
Investments Classified by Contractual Maturity Date [Table Text Block] | Amortized Estimated December 31, 2016 Due in one year or less $ 1,455,729 $ 1,457,201 Due after one year through five years 8,081,777 8,089,289 Due after five years through ten years 1,701,987 1,648,731 Due after ten years 167,486 167,200 Total $ 11,406,979 $ 11,362,421 Amortized Estimated December 31, 2015 Due in one year or less $ 1,686,728 $ 1,688,395 Due after one year through five years 5,550,706 5,600,089 Due after five years through ten years 226,799 231,638 Due after ten years 173,366 171,064 Total $ 7,637,599 $ 7,691,186 |
Realized Gain (Loss) on Investments [Table Text Block] | 2016 2015 Total proceeds on sales of available-for-sale securities $ 6,832,764 $ 4,085,107 Total proceeds from redemptions of hedge fund investments 1,471,507 - Total proceeds from redemptions of fixed maturity investments 40,000 35,000 Total proceeds from maturities of fixed maturity investments 2,170,000 1,150,000 Gross gains on sales 2,849,692 1,168,098 Gross losses on sales (74,508 ) (189,297 ) Impairment losses (219,417 ) (783,005 ) |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Fair value measurement using: Carrying Total fair Quoted prices Significant Significant December 31, 2016 U.S. government agency securities $ 1,466,806 $ 1,466,806 $ — $ 1,466,806 $ — Obligations of U.S. state and political subdivisions 4,134,744 4,134,744 4,134,744 Corporate debt securities 5,760,871 5,760,871 5,760,871 Total fixed maturity investments 11,362,421 11,362,421 Equity securities (excluding the hedge fund) 15,025,077 15,025,077 15,025,077 Total equity securities (excluding the hedge fund) 15,025,077 15,025,077 Hedge fund measured at net asset value (a) 140,467 140,467 Total investments $ 26,527,965 $ 26,527,965 $ 15,025,077 $ 11,362,421 $ — Fair value measurement using: Carrying Total fair Quoted prices Significant Significant December 31, 2015 U.S. government agency securities $ 1,479,386 $ 1,479,386 $ — $ 1,479,386 $ — Obligations of U.S. state and political subdivisions 5,898,556 5,898,556 5,898,556 Corporate debt securities 313,244 313,244 313,244 Total fixed maturity investments 7,691,186 7,691,186 Equity securities (excluding the hedge fund) 13,033,452 13,033,452 13,033,452 Total equity securities (excluding the hedge fund) 13,033,452 13,033,452 Hedge fund measured at net asset value (a) 1,669,393 1,669,393 Total investments $ 22,394,031 $ 22,394,031 $ 13,033,452 $ 7,691,186 $ — |
Condensed Cash Flow Statement [Table Text Block] | 2016 2015 Interest earned: Fixed maturity investments $ 189,973 $ 172,957 Short term investments and cash and cash equivalents 4,546 2,028 Dividends earned 220,868 216,637 Investment expenses (137,850 ) (135,352 ) Net investment income $ 277,537 $ 256,270 |
Note 6 - Property and Equipme27
Note 6 - Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | Cost Accumulated Total December 31, 2016 Furniture and fixtures $ 55,258 $ 36,276 $ 18,982 Office equipment 125,515 26,300 99,215 Computer equipment 14,427 5,477 8,950 Policy acquisition costs 6,075 - 6,075 Internal use software 435,583 341,817 93,766 Total $ 636,858 $ 409,870 $ 226,988 Cost Accumulated Total December 31, 2015 Furniture and fixtures $ 55,258 $ 28,375 $ 26,883 Office equipment 22,413 15,728 6,685 Computer equipment 15,114 9,783 5,331 Internal use software 1,071,121 979,280 91,841 Total $ 1,163,906 $ 1,033,166 $ 130,740 |
Note 7 - Liability for Unpaid28
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block] | 2016 2015 Case basis estimates $ 2,673,046 $ 2,806,295 IBNR reserves 6,268,945 3,777,179 Totals $ 8,941,991 $ 6,583,474 |
Liability Fo Losses And Loss Adjustment Expense Activity [TableTextBlock] | 201 6 2015 Liability—beginning of year $ 6,583,474 $ 4,177,277 Incurred related to: Current year 4,183,863 3,703,196 Prior years 499,546 (109,533 ) Total incurred 4,683,409 3,593,663 Paid related to: Current year (736,649 ) (224,268 ) Prior years (1,588,243 ) (963,198 ) Total paid (2,324,892 ) (1,187,466 ) Liability—end of year $ 8,941,991 $ 6,583,474 |
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense [Table Text Block] | For the Years Ended December 31, Cumulative 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Number of Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance IBNR Reserves Reported Unaudited Dec. 31, 2016 Claims Accident Year 2007 N/A N/A N/A N/A N/A N/A N/A N/A N/A NA NA NA 2008 N/A N/A N/A N/A N/A N/A N/A N/A NA NA NA 2009 N/A N/A N/A N/A N/A N/A N/A NA NA NA 2010 N/A N/A N/A N/A N/A N/A NA NA NA 2011 $ 262 $ 348 $ 257 $ 293 $ 321 $ 344 $ 82 24 2012 702 763 393 450 429 100 75 2013 1,218 1,585 1,340 1,166 207 91 2014 2,589 2,640 2,562 698 167 2015 3,703 4,485 2,168 236 2016 4,184 2,884 272 Total $ 13,169 |
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense [Table Text Block] | For the Years Ended December 31, 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance Unaudited Accident Year 2007 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 2008 N/A N/A N/A N/A N/A N/A N/A N/A N/A 2009 N/A N/A N/A N/A N/A N/A N/A N/A 2010 N/A N/A N/A N/A N/A N/A N/A 2011 $ 0 $ 165 $ 167 $ 201 $ 260 $ 262 Liability for Claims 2012 64 188 280 327 329 And Allocated Claim 2013 58 488 707 715 Adjustment Expenses 2014 67 680 1,018 Net of Reinsurance 2015 121 1,356 Before 2016 737 2011 -2016 2011 Total $ 4,417 $ 8,753 NA Net liability under Reinsurance Agreement $ 8,753 Net liability under CAMICO 189 Total net liability $ 8,942 |
Short-duration Insurance Contracts, Schedule of Historical Claims Duration [Table Text Block] | Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance Unaudited Years 1 2 3 4 5 6 7 8 9 10 7.1 % 33.1 % 13.5 % 7.2 % 8.7 % 0.8 % N/A N/A N/A N/A |
Note 11 - Taxation (Tables)
Note 11 - Taxation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2016 2015 Earnings before income tax $ 1,471,323 $ (1,396,484 ) Expected tax — — Foreign taxes at local expected rates 3,209 (190,297 ) Other 9,223 2,757 Change in valuation allowance (12,432 ) 187,540 Net tax expense (benefit) $ — $ — |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2016 2015 Capitalized start-up expenses $ 163,000 $ 183,992 Operating loss carryforwards 4,009,000 4,006,081 Depreciation and amortization (22,000 ) (27,641 ) Deferred tax assets before valuation allowance 4,150,000 4,162,432 Valuation allowance (4,150,000 ) (4,162,432 ) Deferred tax assets net of valuation allowance $ — $ — |
Note 12 - Dividend Restrictio30
Note 12 - Dividend Restrictions and Statutory Requirements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Dividends Declared [Table Text Block] | Statutory Relevant Assets Minimum Actual Minimum Actual December 31, 2016 $ 1,497,580 $ 37,448,998 $ 22,119,254 $ 22,119,254 December 31, 2015 $ 1,234,565 $ 34,896,907 $ 19,584,436 $ 19,584,436 |
Note 13 - Segment Information (
Note 13 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | As of and for the Year Ended December 31, 2016 Reinsurance Insurance Total Revenues $ 9,954,786 $ 4,047,310 $ 14,002,096 Total losses and expenses 8,491,488 4,039,285 12,530,773 Segment income (loss) 1,463,298 8,025 1,471,323 Identifiable assets — 226,988 226,988 As of and for the Year Ended December 31, 2015 Reinsurance Insurance Total Revenues $ 5,873,847 $ 3,095,798 $ 8,969,645 Total losses and expenses 6,794,589 3,571,540 10,366,129 Segment income (loss) (920,742 ) (475,742 ) (1,396,484 ) Identifiable assets — 130,740 130,740 |
Note 15 - Commitments and Con32
Note 15 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | 2017 $ 101,209 $ 101,209 |
Note 16 - Unaudited Condensed33
Note 16 - Unaudited Condensed Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Quarterly Financial Information [Table Text Block] | 2016 FIRST SECOND THIRD FOURTH Net premiums earned $ 1,615,608 $ 1,500,827 $ 1,844,243 $ 2,163,388 Commission income 1,033,485 947,273 976,514 1,087,454 Net investment income 64,679 81,438 63,821 67,599 Net realized gain 243,253 516,861 960,767 834,886 Total revenues $ 2,957,025 $ 3,046,399 $ 3,845,345 $ 4,153,327 Net income $ 52,489 $ 228,331 $ 762,897 $ 427,606 Basic and diluted income per share $ 0.08 $ 0.35 $ 1.17 $ 0.66 2015 FIRST SECOND THIRD FOURTH Net premiums earned $ 1,225,863 $ 1,311,624 $ 1,406,901 $ 1,479,211 Commission income 738,818 717,998 728,969 908,195 Net investment income 52,662 77,815 55,709 70,084 Net realized gain (loss) 513,666 (56,470 ) 7,576 (268,976 ) Total revenues $ 2,531,009 $ 2,050,967 $ 2,199,155 $ 2,188,514 Net income (loss) $ 112,145 $ (526,520 ) $ (350,085 ) $ (632,024 ) Basic and diluted income (loss) per share $ 0.17 $ (0.80 ) $ (0.53 ) $ (0.97 ) |
Note 2 - Significant Accounti34
Note 2 - Significant Accounting Policies (Details Textual) | 12 Months Ended |
Dec. 31, 2016 | |
Capitalized Internal Use Software Costs [Member] | |
Finite-Lived Intangible Asset, Useful Life | 5 years |
Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 3 years |
Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 7 years |
Note 3 - Pledged Assets (Detail
Note 3 - Pledged Assets (Details Textual) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Funds Held under Reinsurance Agreements, Liability | $ 11,330,173 | $ 8,266,507 |
Camico [Member] | ||
Funds Held under Reinsurance Agreements, Liability | $ 103,623 | $ 310,407 |
Note 4 - Investments (Details T
Note 4 - Investments (Details Textual) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | $ 7,811,779 | $ 4,585,513 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 6 | 10 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 27 | 26 |
Note 4 - Investments - Cost or
Note 4 - Investments - Cost or Amortized Cost, Gross Unrealized Holding Gains and Losses, and Estimated Fair Value of Fixed Maturity Investments (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Cost or Amortized Cost | $ 22,728,557 | $ 18,056,521 |
Gross Unrealized Gains | 4,017,740 | 4,444,201 |
Gross Unrealized Losses | (218,332) | (106,691) |
Estimated Fair Value | 26,527,965 | 22,394,031 |
Equity Securities and Hedge Funds [Member] | ||
Cost or Amortized Cost | 11,321,578 | 10,418,922 |
Gross Unrealized Gains | 3,972,361 | 4,371,761 |
Gross Unrealized Losses | (128,395) | (87,838) |
Estimated Fair Value | 15,165,544 | 14,702,845 |
Fixed Maturities [Member] | ||
Cost or Amortized Cost | 11,406,979 | 7,637,599 |
Gross Unrealized Gains | 45,379 | 72,440 |
Gross Unrealized Losses | (89,937) | (18,853) |
Estimated Fair Value | 11,362,421 | 7,691,186 |
Fixed Maturities [Member] | US Government Agencies Debt Securities [Member] | ||
Cost or Amortized Cost | 1,462,040 | 1,477,979 |
Gross Unrealized Gains | 6,408 | 5,372 |
Gross Unrealized Losses | (1,642) | (3,965) |
Estimated Fair Value | 1,466,806 | 1,479,386 |
Fixed Maturities [Member] | US States and Political Subdivisions Debt Securities [Member] | ||
Cost or Amortized Cost | 4,098,069 | 5,851,938 |
Gross Unrealized Gains | 37,309 | 61,506 |
Gross Unrealized Losses | (634) | (14,888) |
Estimated Fair Value | 4,134,744 | 5,898,556 |
Fixed Maturities [Member] | Corporate Debt Securities [Member] | ||
Cost or Amortized Cost | 5,846,870 | 307,682 |
Gross Unrealized Gains | 1,662 | 5,562 |
Gross Unrealized Losses | (87,661) | |
Estimated Fair Value | 5,760,871 | 313,244 |
Equity Securities [Member] | ||
Cost or Amortized Cost | 11,235,802 | 9,418,922 |
Gross Unrealized Gains | 3,917,670 | 3,702,368 |
Gross Unrealized Losses | (128,395) | (87,838) |
Estimated Fair Value | 15,025,077 | 13,033,452 |
Hedge Funds [Member] | ||
Cost or Amortized Cost | 85,776 | 1,000,000 |
Gross Unrealized Gains | 54,691 | 669,393 |
Gross Unrealized Losses | ||
Estimated Fair Value | $ 140,467 | $ 1,669,393 |
Note 4 - Investments - Fixed Ma
Note 4 - Investments - Fixed Maturity and Securities in an Unrealized Loss Position and Aggregate Fair Value and Gross Unrealized Loss (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
12 months or greater, estimated fair value | $ 662,379 | $ 1,840,836 |
12 months or greater, unrealized losses | (7,145) | (38,137) |
Less than 12 months, estimated fair value | 7,149,400 | 2,744,677 |
Less than 12 months, unrealized losses | (211,187) | (68,554) |
Total estimated fair value | 7,811,779 | 4,585,513 |
Total unrealized losses | (218,332) | (106,691) |
Fixed Maturities [Member] | ||
12 months or greater, estimated fair value | 542,968 | 1,699,466 |
12 months or greater, unrealized losses | (402) | (11,744) |
Less than 12 months, estimated fair value | 5,477,541 | 1,953,979 |
Less than 12 months, unrealized losses | (89,535) | (7,109) |
Total estimated fair value | 6,020,509 | 3,653,445 |
Total unrealized losses | (89,937) | (18,853) |
Equity Securities [Member] | ||
12 months or greater, estimated fair value | 119,411 | 141,370 |
12 months or greater, unrealized losses | (6,743) | (26,393) |
Less than 12 months, estimated fair value | 1,671,859 | 790,698 |
Less than 12 months, unrealized losses | (121,652) | (61,445) |
Total estimated fair value | 1,791,270 | 932,068 |
Total unrealized losses | (128,395) | (87,838) |
Hedge Funds [Member] | ||
12 months or greater, estimated fair value | ||
12 months or greater, unrealized losses | ||
Less than 12 months, estimated fair value | ||
Less than 12 months, unrealized losses | ||
Total estimated fair value | ||
Total unrealized losses | ||
US Government Agencies Debt Securities [Member] | Fixed Maturities [Member] | ||
12 months or greater, estimated fair value | ||
12 months or greater, unrealized losses | ||
Less than 12 months, estimated fair value | 507,735 | 1,025,773 |
Less than 12 months, unrealized losses | (1,642) | (3,965) |
Total estimated fair value | 507,735 | 1,025,773 |
Total unrealized losses | (1,642) | (3,965) |
US States and Political Subdivisions Debt Securities [Member] | Fixed Maturities [Member] | ||
12 months or greater, estimated fair value | 542,968 | 1,699,466 |
12 months or greater, unrealized losses | (402) | (11,744) |
Less than 12 months, estimated fair value | 420,050 | 928,206 |
Less than 12 months, unrealized losses | (232) | (3,144) |
Total estimated fair value | 963,018 | 2,627,672 |
Total unrealized losses | (634) | (14,888) |
Corporate Debt Securities [Member] | Fixed Maturities [Member] | ||
12 months or greater, estimated fair value | ||
12 months or greater, unrealized losses | ||
Less than 12 months, estimated fair value | 4,549,756 | |
Less than 12 months, unrealized losses | (87,661) | |
Total estimated fair value | 4,549,756 | |
Total unrealized losses | (87,661) | |
Equity Securities and Hedge Funds [Member] | ||
12 months or greater, estimated fair value | 119,411 | 141,370 |
12 months or greater, unrealized losses | (6,743) | (26,393) |
Less than 12 months, estimated fair value | 1,671,859 | 790,698 |
Less than 12 months, unrealized losses | (121,652) | (61,445) |
Total estimated fair value | 1,791,270 | 932,068 |
Total unrealized losses | $ (128,395) | $ (87,838) |
Note 4 - Investments - Cost o39
Note 4 - Investments - Cost or Amortized Cost and Estimated Fair Value of Fixed Maturity Investments (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Due in one year or less, amortized cost | $ 1,455,729 | $ 1,686,728 |
Due in one year or less, fair value | 1,457,201 | 1,688,395 |
Due after one year through five years, amortized cost | 8,081,777 | 5,550,706 |
Due after one year through five years, fair value | 8,089,289 | 5,600,089 |
Due after five years through ten years, amortized cost | 1,701,987 | 226,799 |
Due after five years through ten years, fair value | 1,648,731 | 231,638 |
Due after ten years, amortized cost | 167,486 | 173,366 |
Due after ten years, fair value | 167,200 | 171,064 |
Total, amortized cost | 11,406,979 | 7,637,599 |
Total, fair value | $ 11,362,421 | $ 7,691,186 |
Note 4 - Investments - Sales an
Note 4 - Investments - Sales and Maturities of Investments (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Proceeds from sales of available-for-sale securities | $ 6,832,764 | $ 4,085,107 |
Proceeds from redemptions of hedge fund investments | 1,471,507 | |
Proceeds from redemptions of fixed maturity investments | 40,000 | 35,000 |
Proceeds from maturities of fixed maturity investments | 2,170,000 | 1,150,000 |
Gross gains on sales | 2,849,692 | 1,168,098 |
Gross losses on sales | (74,508) | (189,297) |
Impairment losses | $ (219,417) | $ (783,005) |
Note 4 - Investments - Fair Val
Note 4 - Investments - Fair Value of Investments (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 | |
Total Investments | $ 26,527,965 | $ 22,394,031 | |
Fixed Maturities [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Total Investments | 4,134,744 | 5,898,556 | |
Reported Value Measurement [Member] | |||
Total Investments | 26,527,965 | 22,394,031 | |
Reported Value Measurement [Member] | Equity Securities and Hedge Funds [Member] | |||
Total Investments | 15,025,077 | 13,033,452 | |
Reported Value Measurement [Member] | Fixed Maturities [Member] | |||
Total Investments | 11,362,421 | 7,691,186 | |
Reported Value Measurement [Member] | Fixed Maturities [Member] | US Government Agencies Debt Securities [Member] | |||
Total Investments | 1,466,806 | 1,479,386 | |
Reported Value Measurement [Member] | Fixed Maturities [Member] | Corporate Debt Securities [Member] | |||
Total Investments | 5,760,871 | 313,244 | |
Reported Value Measurement [Member] | Equity Securities [Member] | |||
Total Investments | 15,025,077 | 13,033,452 | |
Reported Value Measurement [Member] | Hedge Funds [Member] | |||
Total Investments | [1] | 140,467 | 1,669,393 |
Estimate of Fair Value Measurement [Member] | |||
Total Investments | 26,527,965 | 22,394,031 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Total Investments | 11,362,421 | 7,691,186 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Total Investments | 15,025,077 | 13,033,452 | |
Estimate of Fair Value Measurement [Member] | Equity Securities and Hedge Funds [Member] | |||
Total Investments | 15,025,077 | 13,033,452 | |
Estimate of Fair Value Measurement [Member] | Fixed Maturities [Member] | |||
Total Investments | 11,362,421 | 7,691,186 | |
Estimate of Fair Value Measurement [Member] | Fixed Maturities [Member] | US Government Agencies Debt Securities [Member] | |||
Total Investments | 1,466,806 | 1,479,386 | |
Estimate of Fair Value Measurement [Member] | Fixed Maturities [Member] | US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Total Investments | 1,466,806 | 1,479,386 | |
Estimate of Fair Value Measurement [Member] | Fixed Maturities [Member] | Corporate Debt Securities [Member] | |||
Total Investments | 5,760,871 | 313,244 | |
Estimate of Fair Value Measurement [Member] | Fixed Maturities [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Total Investments | 5,760,871 | 313,244 | |
Estimate of Fair Value Measurement [Member] | Equity Securities [Member] | |||
Total Investments | 15,025,077 | 13,033,452 | |
Estimate of Fair Value Measurement [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Total Investments | 15,025,077 | 13,033,452 | |
Estimate of Fair Value Measurement [Member] | Hedge Funds [Member] | |||
Total Investments | [1] | $ 140,467 | $ 1,669,393 |
[1] | In accordance with Subtopic 820-10, certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the statement of financial position. |
Note 4 - Investments - Major Ca
Note 4 - Investments - Major Categories of Net Interest and Dividend Income (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Fixed maturity investments | $ 189,973 | $ 172,957 | ||||||||
Short term investments and cash and cash equivalents | 4,546 | 2,028 | ||||||||
Dividends earned | 220,868 | 216,637 | ||||||||
Investment expenses | (137,850) | (135,352) | ||||||||
Net investment income | $ 67,599 | $ 63,821 | $ 81,438 | $ 64,679 | $ 70,084 | $ 55,709 | $ 77,815 | $ 52,662 | $ 277,537 | $ 256,270 |
Note 5 - Other Invested Assets
Note 5 - Other Invested Assets (Details Textual) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Certificates of Deposit, at Carrying Value | $ 490,000 | $ 980,000 |
Cash, FDIC Insured Amount | $ 250,000 |
Note 6 - Property and Equipme44
Note 6 - Property and Equipment (Details Textual) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment, Net | $ 226,988 | $ 130,740 |
Note 6 - Property and Equipme45
Note 6 - Property and Equipment - Property and Equipment (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Cost | $ 636,858 | $ 1,163,906 |
Amortization | 409,870 | 1,033,166 |
Property and equipment (Note 6) | 226,988 | 130,740 |
Furniture and Fixtures [Member] | ||
Cost | 55,258 | 55,258 |
Amortization | 36,276 | 28,375 |
Property and equipment (Note 6) | 18,982 | 26,883 |
Office Equipment [Member] | ||
Cost | 125,515 | 22,413 |
Amortization | 26,300 | 15,728 |
Property and equipment (Note 6) | 99,215 | 6,685 |
Computer Equipment [Member] | ||
Cost | 14,427 | 15,114 |
Amortization | 5,477 | 9,783 |
Property and equipment (Note 6) | 8,950 | 5,331 |
Policy Acquisition Costs [Member] | ||
Cost | 6,075 | |
Property and equipment (Note 6) | 6,075 | |
Software Development [Member] | ||
Cost | 435,583 | 1,071,121 |
Amortization | 341,817 | 979,280 |
Property and equipment (Note 6) | $ 93,766 | $ 91,841 |
Note 7 - Liability for Unpaid46
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Prior Year Claims and Claims Adjustment Expense | $ 499,546 | $ (109,533) |
Camico [Member] | ||
Prior Year Claims and Claims Adjustment Expense | $ 189,076 | |
Prior Year Claims and Claims Adjustment Expense, Percentage of Total Net Reserves | 2.10% |
Note 7 - Liability for Unpaid47
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses - Liability for Unpaid Losses and Loss Adjustment Expenses (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Case basis estimates | $ 2,673,046 | $ 2,806,295 |
IBNR reserves | 6,268,945 | 3,777,179 |
Totals | $ 8,941,991 | $ 6,583,474 |
Note 7 - Liability for Unpaid48
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses - Liability for Losses and Loss Adjustment Expense Activity (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Liability—beginning of year | $ 6,583,474 | $ 4,177,277 |
Incurred related to: | ||
Current year | 4,183,863 | 3,703,196 |
Prior years | 499,546 | (109,533) |
Total incurred | 4,683,409 | 3,593,663 |
Paid related to: | ||
Current year | (736,649) | (224,268) |
Prior years | (1,588,243) | (963,198) |
Total paid | (2,324,892) | (1,187,466) |
Liability—end of year | $ 8,941,991 | $ 6,583,474 |
Note 7 - Liability for Unpaid49
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses - Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance (Unaudited) (Details) $ in Thousands | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2011USD ($) |
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 13,169 | |||||
Short-duration Insurance Contracts, Accident Year 2011 [Member] | ||||||
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | 344 | $ 321 | $ 293 | $ 257 | $ 348 | $ 262 |
IBNR Reserves | $ 82 | |||||
Cumulative Number of Reported Claims | 24 | |||||
Short-duration Insurance Contracts, Accident Year 2012 [Member] | ||||||
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 429 | 450 | 393 | 763 | $ 702 | |
IBNR Reserves | $ 100 | |||||
Cumulative Number of Reported Claims | 75 | |||||
Short-duration Insurance Contracts, Accident Year 2013 [Member] | ||||||
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 1,166 | 1,340 | 1,585 | $ 1,218 | ||
IBNR Reserves | $ 207 | |||||
Cumulative Number of Reported Claims | 91 | |||||
Short-duration Insurance Contracts, Accident Year 2014 [Member] | ||||||
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 2,562 | 2,640 | $ 2,589 | |||
IBNR Reserves | $ 698 | |||||
Cumulative Number of Reported Claims | 167 | |||||
Short-duration Insurance Contracts, Accident Year 2015 [Member] | ||||||
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 4,485 | $ 3,703 | ||||
IBNR Reserves | $ 2,168 | |||||
Cumulative Number of Reported Claims | 236 | |||||
Short-duration Insurance Contracts, Accident Year 2016 [Member] | ||||||
Incurred Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 4,184 | |||||
IBNR Reserves | $ 2,884 | |||||
Cumulative Number of Reported Claims | 272 |
Note 7 - Liability for Unpaid50
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses - Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance (Unaudited) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 4,417 | |||||
Total | 8,942 | |||||
Reinsurance Agreement [Member] | ||||||
Total | 8,753 | |||||
Camico Agreement [Member] | ||||||
Total | 189 | |||||
Short-duration Insurance Contracts, Accident Year 2011 [Member] | ||||||
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | 262 | $ 260 | $ 201 | $ 167 | $ 165 | $ 0 |
Short-duration Insurance Contracts, Accident Year 2012 [Member] | ||||||
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | 329 | 327 | 280 | 188 | $ 64 | |
Short-duration Insurance Contracts, Accident Year 2013 [Member] | ||||||
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | 715 | 707 | 488 | $ 58 | ||
Short-duration Insurance Contracts, Accident Year 2014 [Member] | ||||||
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | 1,018 | 680 | $ 67 | |||
Short-duration Insurance Contracts, Accident Year 2015 [Member] | ||||||
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | 1,356 | $ 121 | ||||
Short-duration Insurance Contracts, Accident Year 2016 [Member] | ||||||
Paid Claims and Allocated Claim Adjustment Expense, Net of Reinsurance | $ 737 |
Note 7 - Liability for Unpaid51
Note 7 - Liability for Unpaid Losses and Loss Adjustment Expenses - Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (Unaudited) (Details) | Dec. 31, 2016 |
Average Annual Percentage Payout | 7.10% |
Average Annual Percentage Payout | 33.10% |
Average Annual Percentage Payout | 13.50% |
Average Annual Percentage Payout | 7.20% |
Average Annual Percentage Payout | 8.70% |
Average Annual Percentage Payout | 0.80% |
Note 8 - Shareholders' Equity (
Note 8 - Shareholders' Equity (Details Textual) | Dec. 31, 2016USD ($) |
Stock Repurchase Program, Authorized Amount | $ 500,000 |
Note 9 - Premiums Written (Deta
Note 9 - Premiums Written (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Assumed Premiums Written | $ 7,983,869 | $ 6,230,431 |
Note 10 -Operating and Manage54
Note 10 -Operating and Management Expenses (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Other General and Administrative Expense | $ 327,500 | $ 327,500 |
Compensation | 525,517 | 488,581 |
Director [Member] | ||
Compensation | $ 70,000 | $ 70,000 |
Maximum [Member] | ||
Termination Notice for Management Agreement | 90 days | |
Minimum [Member] | ||
Termination Notice for Management Agreement | 60 days |
Note 11 - Taxation (Details Tex
Note 11 - Taxation (Details Textual) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Effective Income Tax Rate Reconciliation, Percent | 0.00% |
Operating Loss Carryforwards | $ 10,377,000 |
Note 11 - Taxation - Effective
Note 11 - Taxation - Effective Income Tax Rate Reconciliation (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings before income tax | $ 1,471,323 | $ (1,396,484) |
Expected tax | 0 | 0 |
Foreign taxes at local expected rates | 3,209 | (190,297) |
Other | 9,223 | 2,757 |
Change in valuation allowance | (12,432) | 187,540 |
Net tax expense (benefit) | $ 0 | $ 0 |
Note 11 - Deferred Tax Assets (
Note 11 - Deferred Tax Assets (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Capitalized start-up expenses | $ 163,000 | $ 183,992 |
Operating loss carryforwards | 4,009,000 | 4,006,081 |
Depreciation and amortization | (22,000) | (27,641) |
Deferred tax assets before valuation allowance | 4,150,000 | 4,162,432 |
Valuation allowance | (4,150,000) | (4,162,432) |
Deferred tax assets net of valuation allowance |
Note 12 - Dividend Restrictio58
Note 12 - Dividend Restrictions and Statutory Requirements (Details Textual) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments without Regulatory Approval | $ 35,900,000 | |
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments with Regulatory Approval | 22,700,000 | |
Statutory Loss | $ 762,411 | $ 1,107,251 |
Note 12 - Dividend Restrictio59
Note 12 - Dividend Restrictions and Statutory Requirements - Summary of Levels of Solvency and Liquidity (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Statutory Capital & Surplus, Minimum | $ 1,497,580 | $ 1,234,565 |
Statutory Capital & Surplus, Actual | 37,448,998 | 34,896,907 |
Relevant Assets, Minimum | 22,119,254 | 19,584,436 |
Relevant Assets, Actual | $ 22,119,254 | $ 19,584,436 |
Note 13 - Segment Information60
Note 13 - Segment Information (Details Textual) | 12 Months Ended |
Dec. 31, 2016 | |
Number of Operating Segments | 2 |
Note 13 - Segment Information -
Note 13 - Segment Information - Segment Reporting Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total revenues | $ 4,153,327 | $ 3,845,345 | $ 3,046,399 | $ 2,957,025 | $ 2,188,514 | $ 2,199,155 | $ 2,050,967 | $ 2,531,009 | $ 14,002,096 | $ 8,969,645 |
Total losses and expenses | 12,530,773 | 10,366,129 | ||||||||
Net income (loss) | 427,606 | $ 762,897 | $ 228,331 | $ 52,489 | (632,024) | $ (350,085) | $ (526,520) | $ 112,145 | 1,471,323 | (1,396,484) |
Property and equipment (Note 6) | 226,988 | 130,740 | 226,988 | 130,740 | ||||||
Reinsurance Segment [Member] | ||||||||||
Total revenues | 9,954,786 | 5,873,847 | ||||||||
Total losses and expenses | 8,491,488 | 6,794,589 | ||||||||
Net income (loss) | 1,463,298 | (920,742) | ||||||||
Property and equipment (Note 6) | ||||||||||
Insurance Segment [Member] | ||||||||||
Total revenues | 4,047,310 | 3,095,798 | ||||||||
Total losses and expenses | 4,039,285 | 3,571,540 | ||||||||
Net income (loss) | 8,025 | (475,742) | ||||||||
Property and equipment (Note 6) | $ 226,988 | $ 130,740 | $ 226,988 | $ 130,740 |
Note 14 - Stock Compensation (D
Note 14 - Stock Compensation (Details Textual) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2016shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2012shares | |
Number of Employees in Plan | 4 | ||
Phantom Share Units (PSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1,569 | 75,018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 84,725 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Value, Payable Requisite Employee Age | 65 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Value, Payable Period before Death or Permanent Disability | 60 days | ||
Deferred Compensation Share-based Arrangements, Liability, Current and Noncurrent | $ | $ 0 |
Note 15 - Commitments and Con63
Note 15 - Commitments and Contingencies - Future Lease Payments (Details) | Dec. 31, 2016USD ($) |
2,017 | $ 101,209 |
Total | $ 101,209 |
Note 16 - Unaudited Condensed64
Note 16 - Unaudited Condensed Quarterly Financial Data - Quarterly Financial Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net premiums earned (Note 9) | $ 2,163,388 | $ 1,844,243 | $ 1,500,827 | $ 1,615,608 | $ 1,479,211 | $ 1,406,901 | $ 1,311,624 | $ 1,225,863 | $ 7,124,066 | $ 5,423,599 |
Commission income | 1,087,454 | 976,514 | 947,273 | 1,033,485 | 908,195 | 728,969 | 717,998 | 738,818 | 4,044,726 | 3,093,980 |
Net investment income (Note 4) | 67,599 | 63,821 | 81,438 | 64,679 | 70,084 | 55,709 | 77,815 | 52,662 | 277,537 | 256,270 |
Net realized gain on investments (Note 4) | 834,886 | 960,767 | 516,861 | 243,253 | (268,976) | 7,576 | (56,470) | 513,666 | 2,555,767 | 195,796 |
Total revenues | 4,153,327 | 3,845,345 | 3,046,399 | 2,957,025 | 2,188,514 | 2,199,155 | 2,050,967 | 2,531,009 | 14,002,096 | 8,969,645 |
Net income (loss) | $ 427,606 | $ 762,897 | $ 228,331 | $ 52,489 | $ (632,024) | $ (350,085) | $ (526,520) | $ 112,145 | $ 1,471,323 | $ (1,396,484) |
BASIC AND DILUTED INCOME (LOSS) PER SHARE (in dollars per share) | $ 0.66 | $ 1.17 | $ 0.35 | $ 0.08 | $ (0.97) | $ (0.53) | $ (0.80) | $ 0.17 | $ 2.26 | $ (2.13) |